Student Current Accounts

Compare Student Current Accounts

Earn up to 5% AER on your cash!

Some of the best rates of interest you will get on cash currently are on current accounts. E.g Nationwide offer 5% AER fixed (4.89% gross pa) in credit interest on balances up to £2,500 for the first 12 months

You can also benefit from switching your account. A number of banks now offer switch incentives. HSBC are currently offering £150 if you switch your current account to them. The good news is that switching is a lot easier than it used to be – basically the new bank account provider will do all the work in setting up your direct debits and standing orders etc.

For students looking for a good account Santander UK are offering a free railcard for 4 years as long as you are 18 and are in or are about to enter into full time further education.

3% AER / 2.96% (variable) on balance from £300 up to a maximum of £2,000

An interest-free and fee-free Arranged Overdraft, up to £1,500 in years 1-3, then up to £2,000 if you stay on to year 5

Free 4-year Santander 16-25 Railcard which could save you 1/3 off rail travel in Great Britain

Access to 1|2|3 World offers, including preferential rates and special deals on other Santander products

Visa Debit card for making purchases and accessing your money at cash machines

No monthly account fee

Must be aged 18 or over & completing a full-time higher education course

Must pay in £500 each academic term, and register for Online Banking

Must be a UK resident for tax purposes

Latest Student Current Accounts 2019

If you are going to university you may wish to consider opening a student account. A student account is similar to a current account, the main difference being that it has the benefit of a large interest free overdraft, ideal for you if you are moving away from home for the first time and are perhaps not used to controlling your own finances and being so independent.

Converting your Current Account into a Student Current Account

Most banks and building societies offer the student account option but it is fair to say that most people who are going to university stick with their original bank and simply convert it into a student account.

Sticking with the same bank is beneficial as you may already be greatly acquainted with the online banking system used by that bank but it is certainly worth comparing various student current accounts offered by different banks in order to find the best offers. Many banks provide attractive incentives to students so shop around.

Converting your Student Current Account into a Graduate Current Account

Once you have graduated, most banks or building societies that offer student current accounts also provide the option of converting your student current account into a graduate current account, with the interest free overdraft still an available option.

This is a valuable feature on a student current account and is attractive to anyone about to become a student who has rent to pay, loan instalments to manage, possible grants and bursaries, bills to pay and not to mention food shopping and money set aside for the many drinking opportunities that may come your way.

Compare Current Accounts

Before you commit to a particular bank or building society’s student current account, it is wise to compare a range of available student current accounts offered by different banking organisations. Use our comparison tables to gain insight into the various options available to you. Our team have done the hard work for you and will save you time, energy and the possible stress that comes with searching for the right student current account for you.

What if there are any problems?

Your new bank is responsible for contacting you before the switch date if there are any hitches with transferring your standing orders and direct debits – and incoming payments.

And the switching service is covered by a guarantee: the new bank must refund you if there are any charges because payments didn’t go through on time. But you have to ask them for this.

Can I keep my old current account open when I switch?

Yes – you can use the partial switch service and keep your old account open, transferring all or some of your payments. But the process isn’t covered by the service guarantee so it can take longer: possibly up to 20 working days. And there isn’t an automatic-redirect for the three years after you switch. A partial switch may not qualify for the incentives offered for switching (though that shouldn’t be the only reason why you change accounts).

What about transferring “recurring payments”?

Not all your regular bill payments may be made by direct debits or standing orders. Some service providers (such as telecoms services, online subscriptions, gym membership and payday loans) get you to set up a “recurring payment” or “continuous payment authority” which is linked to your debit or credit card

Because they’re linked to a card rather than directly to your bank account, they’re not included in the switching service (or covered by the guarantee).

It’s not always clear which are your continuous payment authorities: you won’t find them listed on your online banking portal. When you set them up you were asked for you card details (“please read me the long card number”) rather than your bank account and sort code numbers.

You’ll need to check your monthly card statements: any regular payments going out each month that are not marked as DD (direct debit) or SO (standing order) are likely to be continuous payment authorities.

If you want to keep paying for this service (or loan) in this way, you’ll need to contact each provider and tell them your new card details as soon as you have them.

This may sound like a lot of bother, but it is useful to check periodically what’s going out of your account regularly: there may be services you’re not using (such as fast delivery, or additional online data storage) that you want to cancel.

What about the individuals who have my bank account details, for sending occasional payments?

If you can remember the family members or friends who occasionally transfer money directly to your bank, you can send them your new account details and ask them to set them you up as a new Payee.

It’s probably not a good idea to just email all your Contacts with your new account details. If you’re concerned about email security, the most secure way of sending bank account details to specific people is via WhatsApp.

And if any payments are accidentally made to your old account, for 36 months (three years) after you’ve switched, your new bank or building society will arrange for any payments to be automatically redirected to your new account. They will also contact the sender and give them your new account details.

When should I choose to make the transfer?

You can pick any convenient day in the month, so long as it’s more than a week away, and not a weekend or a bank holiday.

If all your regular payments tend to go out of your account around the same time it’s best to choose a time of the month when your bank account isn’t so busy.